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____ Monday December 14, 2015 ____



Annual wholesale trade, 2013

Ottawa - Canadian wholesalers reported $972 billion in operating revenue and $118 billion in operating expenses in 2013, which resulted in an operating profit margin of 3.9%.

Expressed as a percentage of total operating revenue, gross margins (the difference between total operating revenue and cost of goods sold) were 16.0% in 2013.

The largest subsector, petroleum products, accounted for 32.2% of total operating revenue. The second largest subsector was machinery, equipment and supplies, at 13.9%. The main contributor among the four groups in this subsector was wholesalers of construction, forestry, mining and industrial machinery, equipment and supplies, which accounted for 36.6% of this subsector's total operating revenue.

Gross margins as a percentage of operating revenue vary widely among the wholesale trade subsectors depending on the cost structure of the different types of wholesalers. Among wholesale merchants, the lowest margin was recorded by wholesalers of petroleum products (3.5%). The highest margin was in the machinery, equipment and supplies subsector (27.0%), followed by the personal and household goods subsector (26.9%).

Labour costs made up 44.9% of operating expenses in 2013. The machinery, equipment and supplies subsector (58.2%) reported the highest labour costs as a proportion of operating expenses. In contrast, wholesalers of petroleum products had the lowest labour cost as a percentage of operating expenses, at 25.7%.

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